SINGAPORE shares ended lower on Friday (Jun 14), with the benchmark Straits Times Index (STI) falling 0.8 per cent or 26.98 points to 3,297.55.
Across the broader market, losers beat gainers 317 to 247 after 1.2 billion securities worth S$835.2 million changed hands.
IG market analyst Yeap Jun Rong said in a note on Friday that markets would likely look to the Bank of Japan meeting as a “final hurdle” this week.
“The central bank is widely expected to keep its short-term interest rate unchanged at 0 to 0.1 per cent; but with broad expectations… to hike rates further as soon as July, eyes will be on whether policymakers will still be united in their dovishness this time round,” he said.
“The central bank may also continue to guide for a high degree of data dependency to retain some policy flexibility,” he added.
The central bank later voted unanimously to leave its short-term policy rate unchanged. It also announced that it will start to trim its bond purchases and reduce its balance sheet from next month as it continues to unwind large monetary stimulus.
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Markets likely interpreted the move to be dovish due to a lack of immediate details, suggesting that the central bank will be cautious in adjusting monetary policy.
Regional markets put up a mixed showing on Friday. Japan’s Nikkei 225 rose 0.2 per cent, and South Korea’s Kospi rose 0.1 per cent while Hong Kong’s Hang Seng Index fell 0.9 per cent.
Within the STI, DFI Retail Group was the top performer. It gained 1.1 per cent or US$0.02 to US$1.91.
Seatrium was at the bottom of the table, falling 1.8 per cent or S$0.03 to S$1.67.
The trio of banks were in the red. OCBC shed 1.1 per cent or S$0.16 to S$14.14, while DBS fell 1 per cent or S$0.36 to S$35.48 and UOB declined 0.7 per cent or S$0.22 to S$30.57.
